This is stated in the annual report of the US government commission on the assessment of bilateral trade with the People’s Republic of China and the assessment of risks to the national security and economy of the States, Ukrinform reported with reference to Reuters.

The 741-page document analyzes restrictions imposed by the Biden administration in October last year to ban the supply of equipment to China for the production of advanced chips at 14 nanometers or below.

According to the report, importers receive permission to purchase equipment if they claim to be using old production lines. However, due to limited opportunities for end-use verification of such equipment, it is difficult to determine whether they are being used to make more advanced semiconductors.

The report comes as the US is trying to understand how leading Chinese chipmaker SMIC and telecommunications giant Huawei managed to produce the advanced 7-nanometer chip that will power the new Mate 60 Pro smartphone despite export restrictions imposed last year.

Additionally, Huawei and SMIC have been on the US sanctions list since 2019 and 2020, and American companies have long been banned from supplying them with advanced technology.

American experts do not rule out that SMIC could produce the chip using equipment purchased before the new rules in October 2022, but they also point to other options for this company to acquire the necessary equipment.

The United States has managed to close a key gap in its efforts to cut off China’s access to advanced chip-making tools by persuading Japan and the Netherlands, which have similarly strong industries to produce this equipment, to impose their own restrictions on their exports. Chinese.

But China has been stockpiling equipment, taking advantage of the gap between the US lockdown in October 2022 and similar moves by Japan and the Netherlands in July and September 2023, respectively.

According to the document, China imported $3.2 billion worth of semiconductor equipment from the Netherlands between January and August; This figure increased by 96 percent from $1.7 billion in the same period of 2022. And overall, in the first eight months of this year, China’s imports of semiconductor equipment from all countries reached 13.8 billion dollars.

The report did not make specific recommendations for closing gaps in U.S. regulations but called on Congress to require an annual evaluation of the effectiveness of export controls on semiconductor manufacturing equipment.

The U.S.-China Economic and Security Review Commission was established in 2000 to provide an annual report to Congress on the national security implications of U.S.-China economic relations and make recommendations for government action.

As reported by Ukrinform, the American company Nvidia has introduced a new H200 graphics processor designed for training generative artificial intelligence models.